No. 175 NAI DT S10389A

British-Irish tripartite agreement on Trade, Finance and Defence
(P. No. 3104)

London, 25 April 1938

ÉIRE


AGREEMENTS BETWEEN THE GOVERNMENT OF IRELAND AND THE GOVERNMENT OF THE UNITED KINGDOM

Signed at London, 25th April, 1938

PRESENTED TO BOTH HOUSES OF THE OIREACHTAS
BY
THE MINISTER FOR EXTERNAL AFFAIRS

The Government of Éire and the Government of the United Kingdom, being desirous of promoting relations of friendship and good understanding between the two countries, of reaching a final settlement of all outstanding financial claims of either of the two Governments against the other, and of facilitating trade and commerce between the two countries, have, subject to Parliamentary confirmation, entered into the Agreements hereinafter set forth:


 

AN AGREEMENT REGARDING ARTICLES 6 AND 7 OF THE ARTICLES OF AGREEMENT OF DECEMBER 6, 1921

The Government of Éire and the Government of the United Kingdom have agreed as follows:

  1. The provisions of Articles 6 and 7 of the Articles of Agreement for a Treaty between Great Britain and Ireland signed on the 6th day of December, 1921, and of the Annex thereto shall cease to have effect.
  2. Thereafter the Government of the United Kingdom will transfer to the Government of Éire the Admiralty property and rights at Berehaven, and the harbour defences at Berehaven, Cobh (Queenstown) and Lough Swilly now occupied by care and maintenance parties furnished by the United Kingdom, together with buildings, magazines, emplacements, instruments and fixed armaments with ammunition therefor at present at the said ports.
  3. The transfer will take place not later than the 31st December, 1938. In the meantime the detailed arrangements for the transfer will be the subject of discussion between the two Governments.

Done in duplicate at London, this 25th day of April, 1938.
Signed on behalf of the Government of Éire: Signed on behalf of the Government of the United Kingdom:

EAMON DE VALERA
Seán F. LEMASS
Seán MacENTEE
SEAMAS O'RIAIN

NEVILLE CHAMBERLAIN
JOHN SIMON
SAMUEL HOARE
MALCOLM MacDONALD
T.W.H. INSKIP


 

A FINANCIAL AGREEMENT

The Government of Éire and the Government of the United Kingdom have agreed as follows:

  1. The Government of Éire agree to pay to the Government of the United Kingdom on or before the 30th November, 1938, the sum of £10,000,000 sterling.
  2. Subject to the provisions of Article 3 of the Agreement, payment of the sum specified in Article 1 shall constitute a final settlement of all financial claims of either of the two Governments against the other arising out of matters occurring before the date of this Agreement.
  3. The provisions of Article 2 of this Agreement shall not affect:
    1. payments made or liabilities incurred by one Government to the other in respect of agency services or ordinary inter-governmental transactions, whether for goods supplied, services rendered, disbursements made, or otherwise;
    2. the payment of £250,000 a year by the Government of Éire to the Government of the United Kingdom in respect of damage to property under the Agreement of the 3rd December, 1925;1
    3. any payments made or to be made in pursuance of arrangements which have been or may hereafter be reached between the two Governments in respect of the following matters:
      1. Unredeemed Bank notes;
      2. Withdrawal of United Kingdom silver coin from Éire;;
      3. Trustee Savings Banks;
      4. Double Taxation.
  4. The Government of the United Kingdom undertake to abolish, as from the date on which the accompanying Trade Agreement between the United Kingdom and Éire comes into force pursuant to Article 19 thereof, the duties of customs chargeable under the Irish Free State (Special Duties) Act, 1932, on articles imported from Éire into the United Kingdom, or exported from Éire to any other country and thence brought into the United Kingdom.
  5. The Government of Éire undertake to abolish as from the date on which the accompanying Trade Agreement between the United Kingdom and Éire comes into force pursuant to Article 19 thereof, the duties of Customs known as Customs (Emergency) Duties (Tariff list Reference Nos. 280, 281 and 288) chargeable on goods produced or manufactured in the United Kingdom and imported into Éire.

Done in duplicate at London, this 25th day of April, 1938.
Signed on behalf of the Government of Éire: Signed on behalf of the Government of the United Kingdom:

EAMON DE VALERA
Seán F. LEMASS
Seán MacENTEE
SEAMAS O'RIAIN

NEVILLE CHAMBERLAIN
JOHN SIMON
SAMUEL HOARE
MALCOLM MacDONALD


 

A TRADE AGREEMENT
The Government of Éire and the Government of the United Kingdom have agreed as follows:


ARTICLE 1

  1. The Government of the United Kingdom undertake that goods grown, produced or manufactured in, and consigned from, Éire, which, on the day on which this Agreement comes into force are liable to duty under the Import Duties Act, 1932, or under Section 1 of the Ottawa Agreements Act, 1932, and also such goods which are on that day free of duty, shall enjoy entry free of customs duty into the United Kingdom. This paragraph does not apply to goods which, on the day on which this Agreement comes into force, are liable to duty both under the Import Duties Act, 1932, or the Ottawa Agreements Act, 1932, and under some other enactment.
  2. Provided that as regards eggs, poultry, butter, cheese and other milk products, the undertaking contained in the first paragraph of this Article shall operate only until the 20th August, 1940.


ARTICLE 2

  1. The Government of the United Kingdom undertake in respect of the goods enumerated in Schedule 1 to this Agreement that the difference between the rate of the duties of customs chargeable on such goods produced or manufactured in and consigned from Éire on importation into the United Kingdom and the rate chargeable on similar goods the produce or manufacture of any country not within the British Commonwealth of Nations shall not be less than that set out in that Schedule.
  2. Provided that, except as regards dead guinea fowl and game birds, the undertaking contained in the first paragraph of this Article shall operate only until the 20th August, 1940.


ARTICLE 3

  1. The Government of Éire, recognising that it is the policy of the Government of the United Kingdom to promote the orderly marketing of agricultural products, declare their readiness to co-operate in any arrangements made or approved by that Government for this purpose, and the Government of the United Kingdom, for their part, will not seek to regulate the quantity of any such goods produced in Éire and imported into the United Kingdom unless it appears to them that the orderly marketing of such goods cannot otherwise be secured.
  2. Before any such regulation is put into force, there shall be consultation between the two Governments, and the Government of the United Kingdom undertake that, in determining the quantity of percentage share to be allotted to Éire, regard shall be had so far as practicable to the past position of Éire in the trade and to any special conditions which may have affected, or be affecting, the volume of Éire exports to the United Kingdom.
  3. The Government of Éire, when so requested by the Government of the United Kingdom, will furnish estimates of the quantities of any agricultural product likely to be exported from Éire to the United Kingdom in any period.
  4. This Article shall apply to fish and fishery products as it applies to agricultural products.


ARTICLE 4

  1. The Government of Éire undertake to consult from time to time with the Government of the United Kingdom as to the quantities of eggs and poultry to be exported from Éire to the United Kingdom, and to exercise such control of exports as may be necessary to make effective any agreement so reached.
  2. Should consultation between the two Governments fail to lead to a satisfactory arrangement, and should imports from Éire so increase as, in the opinion of the Government of the United Kingdom, to endanger the stability of the market for eggs or poultry in the United Kingdom, then the Government of the United Kingdom shall be entitled to regulate quantitatively those imports to such extent as may be necessary for securing the stability of the market. In such cases the quantities to be admitted from time to time shall be the subject of consultation between the two Governments and shall be fixed in accordance with the general principles of this Agreement.
  3. Should, however, the two Governments agree that the purpose in view can be more conveniently effected by means of duties than by quantitative regulation, then, notwithstanding anything to the contrary in Article 1 of this Agreement, the Government of the United Kingdom may impose such duties as may be necessary for securing the stability of the market. In that case the rate of duty shall be decided after consultation between the two Governments.


ARTICLE 5

  1. The Government of Éire undertake that goods produced or manufactured in the United Kingdom of the classes or kinds enumerated in Part 1 of Schedule II, which are not now liable to customs duty (other than duties of customs known as Customs (Emergency) Duties (Tariff List reference Nos. 280, 281 and 288)) or quantitative regulation, shall continue to enjoy entry into Éire free of customs duty (other than Package Duty) and quantitative regulation.
  2. The Government of Éire undertake to admit free of customs duty and quantitative regulation goods of the classes or kinds specified in Part II of Schedule II produced in the United Kingdom.


ARTICLE 6

  1. The Government of Éire undertake in respect of consignments or parcels of imported goods of United Kingdom origin, to reduce from two shillings and sixpence to one shilling the Minimum Charge of Customs Duty at present applicable to consignments or parcels of all imported goods.
  2. The Government of Éire undertake, in respect of customs entries for imported goods of United Kingdom origin which are not charged with customs duty, to repeal the Stamp Duty which is at present charged in respect of customs entries for all imported goods.
  3. The Government of Éire undertake, in respect of parcels of goods of United Kingdom origin not liable to duty, imported through the post, to abolish the Post Office delivery charge of sixpence per parcel levied in respect of all parcels of goods not liable to customs duty.
  4. The Government of Éire undertake that the duty of customs known as Package Duty shall not be charged upon goods produced or manufactured in the United Kingdom at rates exceeding one penny per pound (or part of a pound) or one penny per pint (or part of a pint).
  5. The Government of Éire undertake that Package Duty shall not be charged upon goods of United Kingdom origin in respect of:
    1. packages containing goods imported for the personal use of the importer and brought in by such importer or his servant or a member of his family;
    2. packages containing goods which are gifts for the use or enjoyment of the consignee and are imported through the post;
    3. packages imported through the post which are not made up of internal packages or which, if made up of internal packages, do not contain more than six such internal packages.


ARTICLE 7

The Government of Éire undertake that, where licences are issued for the admission of dutiable goods into Éire either free of duty or at a rate of duty less than that ordinarily charged on such goods, any goods covered by such licences which are produced or manufactured in the United Kingdom shall be admitted free of duty, and similar goods covered by such licences, produced or manufactured in any country not within the British Commonwealth of Nations, shall be subject to a duty of not less than 10 per cent. ad valorem (or an appropriate rate of specific duty) unless they are of a class or kind of which supplies of goods produced or manufactured in the United Kingdom are not for the time being available.


ARTICLE 8

  1. The Government of Éire undertake that a review shall be made as soon as practicable by the Prices Commission of existing protective duties and other import restrictions in accordance with the principle that such duties and restrictions upon goods produced or manufactured in the United Kingdom shall be replaced by duties which shall not exceed such a level as will give United Kingdom producers and manufacturers full opportunity of reasonable competition, while affording to Éire industries adequate protection having regard to the relative cost of economical and efficient production, provided that in the application of this principle special consideration may be given to the case of industries not fully established. The tariff on goods produced or manufactured in the United Kingdom will be adjusted where necessary, to give effect to the recommendations of the Prices Commission.
  2. In regard to any protective duties or restrictions which may be imposed by the Government of Éire after the date of this Agreement, a similar procedure shall be followed at the request of the Government of the United Kingdom.
  3. It is understood that quantitative restrictions may be imposed in accordance with the provisions of Article 10 (2) and may, subject to and in accordance with the recommendations of the Prices Commission, be maintained in respect of any of the goods specified in Schedule III.


ARTICLE 9

  1. The Government of Éire undertake to admit free of customs duty, except as provided in the fourth paragraph of this Article, goods of the classes or kinds specified in Schedule IV produced in the United Kingdom.
  2. The Government of the United Kingdom recognise that it may be necessary for the Government of Éire, in pursuance of their agricultural policy, to regulate the imports of certain agricultural products, including those enumerated in Schedule IV.
  3. In such cases the quantities of United Kingdom products to be admitted from time to time shall be the subject of consultation between the two Governments and shall be fixed in accordance with the general principles of this Agreement.
  4. Duties may be imposed by the Government of Éire in agreement with the Government of the United Kingdom in cases where it appears to them that the purpose in view can be more conveniently effected by this means. In such cases the rate of duty, and the margin of preference to be accorded to United Kingdom goods shall be decided after consultation between the two Governments.
  5. This Article shall apply to fish and fishery products as it applies to agricultural products.


ARTICLE 10

  1. The Government of Éire undertake that the duties of customs charged upon the importation into Éire of goods produced or manufactured in the United Kingdom of the classes or kinds enumerated in Parts I and II at Schedule V to this Agreement shall not exceed the rates shown in those parts of that Schedule. Provided that, on the abolition of control by quantitative regulation, higher rates of duty may be charged on the goods enumerated in Part II of that Schedule subject to the recommendation of the Prices Commission.
  2. If the imports into Éire of any class or kind of goods enumerated in Parts I and II of Schedule V should increase to such an extent as to endanger the prospects of success of the producers or manufactures of such goods in Éire, and if it should appear that such increase in imports is due to the reduction of customs duties in pursuance of this Article, then the Government of Éire shall be entitled to apply quantitative regulation to imports of such goods. In that event the quantities of such goods produced or manufactured in the United Kingdom to be admitted into Éire shall be fixed after consultation with the Government of the United Kingdom.


ARTICLE 11

  1. The Government of Éire undertake that goods produced or manufactured in the United Kingdom shall be entitled to admission into Éire at the preferential rate of duty wherever such a rate exists and that existing margins between the full and the preferential rates shall not be reduced.
  2. The Government of Éire undertake that the rates of customs duty charged on goods of the classes or kinds specified in Schedule VI, the produce or manufacture of any country not within the British Commonwealth of Nations shall be not less than those specified in that Schedule, and that the margins of preferences thereby accorded to goods of United Kingdom origin of those classes or kinds shall be maintained.
  3. Whenever new duties are imposed or the existing rates of duty charged on any goods on importation into Éire are adjusted in accordance with the provision of Article 5 (2), Article 8 or Article 9, the difference between the rate of customs duty charged on such goods the produce or manufacture of the United Kingdom and the rate charged on similar goods produced or manufactured in any country not within the British Commonwealth of Nations shall be not less than one-third of the latter rate, or 10 per cent. ad valorem or under (or the equivalent), whatever is the greater.


ARTICLE 12

The review provided for in Article 8 shall be held first upon the classes of goods for which the Government of the United Kingdom request early consideration.


ARTICLE 13

The Government of Éire undertake that United Kingdom producers and manufacturers shall be entitled in full rights of audience before the Prices Commission when it has under consideration matters arising under Article 8 of this Agreement.


ARTICLE 14

If the Government of either country are satisfied after enquiry that goods the produce or manufacture of the other country are being imported and sold in the former country at less than their comparable price in the home market, due allowance being made for transport and other charges, they shall be at liberty, after consultation with the Government of the other country, to impose special duties or other import restrictions on such goods.


ARTICLE 15

Except to the extent that may be necessary to maintain production in Éire on an economic basis or to secure the effective operation of schemes for the orderly marketing of agricultural products, the Government of Éire undertake to withdraw the export bounties or subsidies that have been paid in respect of goods exported from Éire to the United Kingdom. In particular they undertake to withdraw export bounties and subsidies in so far as the intention of such payments has been to counteract the effect of duties of customs on such goods on importation into the United Kingdom, in all cases where such duties have been abolished.


ARTICLE 16

It being the intention of the Government of Éire that coal, coke and manufactured fuel of United Kingdom origin shall continue to be imported into Éire in not less than the proportions which such coal, coke and manufactured fuel formed of total imports of those products into Éire in the year 1937, they undertake to abolish the present control by licence of the importation of coal and to admit into Éire coal, coke and manufactured fuel of United Kingdom origin free of duty and to charge a duty of not less than 3s per ton on coal, coke and manufactured fuel of other origin.


ARTICLE 17

  1. The Government of Éire undertake that complete or substantially complete aggregates of parts for complete or substantially complete motor vehicles, motor vehicle bodies, or motor vehicle chassis, manufactured in the United Kingdom shall not on importation into Éire be subject to quantitative restriction (with the exception of the goods specified in Schedule III and, pending review by the Prices Commission in accordance with Article 8, laminated springs and leaves), and shall not , for the purpose of admission at the rates of duty known as Compounded Duties where such rates are at present applicable, be subjected to more onerous conditions as regards degree of assembly at the time of importation than those at present in operation.
  2. It is however, understood that on the removal of quantitative restrictions from electric filament lamps in accordance with paragraph (1) of this Article, such lamps may be subjected to rates of duty higher than the rates of duty known as Compounded Duties.
  3. The Government of Éire undertake that completely assembled private motor vehicles of a c.i.f. value of £750 or more, manufactured in the United Kingdom, shall enjoy entry into Éire free of quantitative restriction, and that the rate of Customs duty to be charged on such vehicles shall not exceed 222/9 per cent.


ARTICLE 18

Should either Government come to the conclusion that the objects of this Agreement are not being attained say in any particular respect or that a change of circumstances necessitates a variation in its terms, the other Government, upon receiving a notification to that effect, will enter immediately into consultation with the first Government and both Governments will use every endeavour to find an equitable solution to the matter.


ARTICLE 19

This Agreement shall come into force on a date to be mutually agreed between the two Governments. It shall remain in force for a period of three years from the date of its coming into force and, unless notice of termination shall have been given by either Government to the other six months before the expiry of that period, it shall remain in force until the expiry of six months from the date on which notice of termination is given. Done in duplicate at London, this 25th day of April, 1938.

Done in duplicate at London, this 25th day of April, 1938.
Signed on behalf of the Government of Éire: Signed on behalf of the Government of the United Kingdom:

EAMON DE VALERA
Seán F. LEMASS
Seán MacENTEE
SEAMAS O'RIAIN

NEVILLE CHAMBERLAIN
JOHN SIMON
SAMUEL HOARE
MALCOLM MacDONALD
W.S. MORRISON


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